24 Hour Fitness operates health clubs and fitness facilities across the country. As part of its operations, 24 Hour Fitness employs sales representatives. As a condition of employment, employees are required to enter into arbitration agreements to arbitrate their employment disputes with their employer. FLSA claims (i.e., overtime and minimum wage claims) are covered within the scope of the
Fifth Circuit Case Demonstrates Consequences of Failing to Make Prompt and Thorough Investigations of Employee Complaints
A new Fifth Circuit case reveals the consequence that can occur when an employer and its managers fail to take harassment complaints seriously; fail to promptly and thoroughly investigate the complaints; and reach conclusions following the investigation that just plain wrong. In Cherry v. Shaw Coastal Inc., a male employee (Cherry) complained that his immediate
Court Strikes Employer’s Arbitration Agreement With Employee For Lack of Consideration
There are a few pockets in the state where lawyers representing employees still vigorously fight the arbitration agreements their clients signed with employers agreeing to arbitrate all disputes. One of the pockets is in El Paso, Texas as evidenced by the number of opinions out of the court of appeals addressing the enforceability of an arbitration
Court Holds Ministerial Exception Bars Teacher’s Discrimination Suit
Yesterday, the U.S. Supreme Court unanimouslyy held that the ministerial exception bars a federal employment discrimination suit brought by a teacher challenging her church-employer’s decision to terminate her employment. While this holding is limited to religious affiliated employers, it firmly establishes the ministerial exception as a bar to certain employment discrimination claims against religious organizations.
Fifth Circuit Sets Two Year Statute of Limitations for False Claims Act Retaliation Cases
The federal False Claims Act (aka Qui Tam statute) provides a cause of action for an employee who is retaliated against for attempting to prevent its employer from making fraudulent claims for payment to the United States. An open issue in the Fifth Circuit (the federal court of appeals covering appeals from Texas, Louisiana and Mississippi)
Plaintiff-Employee’s Case Dismissed for Giving Differing Reasons for Leaving Employment
In reading a recent Fifth Circuit opinion affirming the dismissal of a employee’s claim of racial harassment involving the display of a noose, I am reminded of Mark Twain’s quote, "If you tell the truth, you don’t have to remember anything." Its good advice to live by and even better advice for deponents and witnesses.
Nickey
Supreme Court of Texas Considering Important Issue of Privileged Communications Between Employer and its Insurance Company
Recently, the Supreme Court of Texas heard oral arguments in an interesting case regarding the outer limits of the attorney-client privilege with respect to a workers’ compensation insurance carrier attorney’s communications with its insured. The communications at issue were made between the carriers and the insured/employer during the administrative proceeding before the Texas Workers’ Compensation Commission over
Fifth Circuit Recognizes Hostile Work Environment Claim Under Age Discrimination in Employment Act
This week the Fifth Circuit held that a cause of action exists for hostile work environment under the ADEA –the first such express holding in the Circuit. In Dediol v. Best Chevrolet, the plaintiff filed a hostile work environment and constructive discharge claim against the employer.
During the brief two months of employment, Dediol
Court Enters Judgment Against Police Officers on Overtime Suit Against City
In a recent case out of the U.S. District Court for the Northern District of Texas, a federal judge entered summary judgment for the City of Fort Worth in an FLSA overtime case filed by four former police officers.
In Clark v. City of Fort Worth, Texas, four retired City of Fort Worth police officers filed a FLSA putative collective action seeking to
Fifth Circuit Holds Title VII Damage Caps Apply “Per Party” Not “Per Claim”
In an issue of first impression in the Fifth Circuit, the U.S. Court of Appeals holds that Title VII’s damages cap apply on a "per party" basis rather than on "per claim." In Black v. Pan American, the Plaintiff, Carleen Black, prevailed on her Title VII and TCHRA claims of sex discrimination and